As of September 2013, banking authorities have announced a new system that will make moving current accounts considerably easier for customers. Using newer, more streamlined procedures, customers will be able to switch providers in as little as seven days.
Current switching time consuming
While this procedure was once unavoidably complicated and time consuming for customers, many people may now begin to welcome new offers from different providers thanks to this recent update.
Indeed, Louis Holmes, spokesperson for Moneyfacts has previously stated that: “The process of moving current accounts is often seen as a drawn out and problematic process (causing) some people to choose to stay with their existing accounts to avoid the hassle of switching.”
New system much quicker
Using this new current account system, the process of switching banks has not only been made considerable quicker, but banks have also taken steps to eliminate the risk of any errors that in the past, may of caused customers a great deal of grief.
Although this new system is expected to cost banks up to £850m, they estimate that this added level of security and improved customers service will be money well spent.
As part of their overhaul of the current system, banks will also introduce a ‘redirection service’, so that customers account details will be saved and forwarded to a new banks even if they are lost by the original provider.
Chief executive of the Payments Council Gary Hocking, has stated that this new system will provide an important ‘safety net’ for customers who wish to switch.